Italy Slips into Recession

A recession is defined by negative growth in two consecutive quarters, and Italy’s economy, EU’s third largest, shrank by 0.2% in the second quarter of 2014, after shrinking 0.1% in the first. According to the Italian Statistics Office, the country’s debt-to-GDP ratio is currently at 132.6%, which is EU’s second highest (Greece has the highest with 175.1%). The Italian Farmer’s Association fears that Russia’s newly announced ban on agricultural imports from the EU could cost Italy an additional €1bn in exports.